PORTLAND, OR--(Marketwired - Jun 29, 2016) - Eastside Distilling, Inc. (OTCQB: ESDI), a producer of award-winning master-crafted spirits announced today that it has fully prepaid the outstanding principal and accrued interest of $307,986.43 which was due under the 14% Secured Convertible Promissory Note dated May 13, 2016 with a maturity date of April 30, 2017. We previously announced our intention to prepay this note in our Current Report on Form 8-K dated June 23, 2016.
This prepayment is the second 14% Secured Convertible Note that we have prepaid this month, including the prepayment announced on June 6, 2016.
"We are pleased to prepay the outstanding principle and interest remaining on this secured convertible note," said Eastside's CEO, Steven Earles. "The recent $2 million in equity financing announced last week puts us in a much stronger financial position. This new capital strengthens our balance sheet allowing us to retire certain debt to avoid additional interest charges and potential future dilution from any conversion that may have occurred. Additionally, this new capital enables us to invest in inventory expansion, marketing infrastructure and sales growth as we continue our national rollout campaign moving into the second half of 2016."
About Eastside Distilling
Eastside Distilling, Inc. (OTCQB: ESDI) is located in Southeast Portland's Distillery Row, and has been producing high-quality, master crafted spirits since 2008. Makers of award winning spirits, the company is unique in the marketplace and distinguished by its highly decorated product lineup that includes Barrel Hitch American Whiskies, Burnside Bourbon, Below Deck Rums, Portland Potato Vodka, and a distinctive line of infused whiskeys. All Eastside spirits are master crafted from natural ingredients for unparalleled quality and taste. The company is publicly traded under the symbol OTCQB: ESDI. For more information visit: www.eastsidedistilling.com or follow the company on Twitter and Facebook.
Important Cautions Regarding Forward-Looking Statements
Certain matters discussed in this press release may be forward-looking statements. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; acceptance of the Company's products in the market; the Company's success in obtaining new customers; the Company's success in product development; the Company's ability to execute its business model and strategic plans; the Company's success in integrating acquired entities and assets, and all the risks and related information described from time to time in the Company's filings with the Securities and Exchange Commission ("SEC"), including the financial statements and related information contained in the Company's Annual Report on Form 10-K and interim Quarterly Reports on Form 10-Q. Examples of forward-looking statements in this release may include statements related to our strategic focus, product verticals, anticipated revenue, and profitability. The Company assumes no obligation to update the cautionary information in this release.